Saturday, 24 October 2009

UK in deepest recession on record

GDP figures issued by the Office for National Statistics (ONS) yesterday showed that the UK economy is still in recession, after shrinking 0.4% in the three months to September 2009.

This means the UK economy has been contracting for 18 months, since March 2008 - the longest period of recession on record. The UK economy has now contracted 5.9% since the beginning of the recession.

John McDonnell MP, LEAP Chair, said:

"The recession continues to bite. In the real world people are losing jobs and experiencing increasing levels of poverty and hardship.

"The Government can no longer sit on the sidelines as spectators. It needs to take a more interventionist stance: nationalising the banks, and investing in manufacturing."

Andrew Fisher, LEAP Co-ordinator, said:"Talk of recovery has been premature. The bailouts have worked to restore stock market confidence and bankers' bonuses, but the real economy is still suffering: unemployment is rising, homes are being repossessed, and wages are being suppressed. For most people, recession is going to be with them for a long time to come."